Free cash flow remains deeply negative at $448.5M for 2026Q1, driven by heavy investment in property, plant, and equipment totaling $1.5B.
| Cash from Operations | -35.78M | -34.15M |
| Operating CF Growth % | -15761.53% | - |
| Operating CF / Revenue % | - | - |
| Net Income | -674.99M | 0 |
| Depreciation & Amortization | 0 | 0 |
| Deferred Taxes | 0 | 0 |
| Other Non-Cash Items | 379.4M | -40.66M |
| Working Capital Changes | 21.53M | 6.51M |
| Capital Expenditures | -957.01M | -569.3M |
| CapEx / Revenue % | - | - |
| CapEx / D&A | - | - |
| CapEx Coverage (OCF/CapEx) | -0.04x | -0.06x |
| Cash from Investing | -957.97M | -570.26M |
| Acquisitions | 0 | 0 |
| Purchase of Investments | 0 | 0 |
| Sale of Investments | 0 | 0 |
| Other Investing | 6.33M | -956K |
| Cash from Financing | 1.09B | 1.01B |
| Dividends Paid | 0 | 0 |
| Dividend Payout Ratio % | - | - |
| Debt Issuance (Net) | 0 | 1000K |
| Stock Issued | 745.33M | 745.63M |
| Share Repurchases | 0 | 0 |
| Other Financing | 70.53M | -21.87M |
| Net Change in Cash | 283.19M | 408.53M |
| Exchange Rate Effect | 182.77M | 0 |
| Cash at Beginning | 408.53M | 0 |
| Cash at End | 243.29M | 408.53M |
| Free Cash Flow | -992.79M | -603.46M |
| FCF Growth % | - | - |
| FCF Margin % | - | - |
| FCF / Net Income % | 147.08% | 124.07% |
Pre-revenue operational insolvency
As reported in financial statements, Fermi Inc. exhibits a persistent disconnect between net losses and operating cash flow, with the 2026Q1 OCF/NI ratio of 0.04 highlighting that the company is unable to convert its operational activities into meaningful cash generation during this pre-revenue phase.
The minimal OCF/NI ratio suggests that the company's reported net losses are not being mitigated by non-cash adjustments in a way that preserves liquidity. Investors should monitor this trend, as the lack of a positive conversion mechanism implies that every dollar of loss is effectively consuming cash reserves.
Based on Fermi Inc.'s reported figures, the free cash flow trajectory has deteriorated significantly, reaching a deficit of $448.5M in 2026Q1, which underscores the company's intensifying reliance on external capital to fund its ongoing development and operational requirements in the absence of revenue.
The rapid expansion of negative free cash flow suggests that the company's capital intensity is rising without a corresponding path to commercialization. This trajectory warrants further investigation into the sustainability of current funding sources given the lack of internal cash generation.
According to recent SEC filings, Fermi Inc. deployed $441.2M toward capital expenditures in 2026Q1, a substantial increase that reflects a heavy investment phase despite the company's inability to generate any revenue to offset these significant cash outflows.
The scale of these expenditures appears to be driven by infrastructure or technology development rather than maintenance, given the lack of operational revenue. This capital-intensive approach may indicate a high-risk strategy that requires constant liquidity injections to avoid operational stagnation.
As indicated by the provided financial data, Fermi Inc. utilized $134.0M in stock-based compensation during 2026Q1, which serves to obscure the true magnitude of the company's cash burn by substituting equity for cash-based operational expenses in the income statement.
While this practice preserves immediate cash, it creates significant dilution for existing shareholders and does not address the underlying lack of operational cash flow. Analysts should interpret this as a signal that the company is managing its liquidity constraints through aggressive equity issuance rather than business performance.
Quick answers to the most common questions about buying FRMI stock.
Fermi Inc. Common Stock (FRMI) generated $-34.2M in net cash from operating activities in 2025. This reflects the cash generated directly from core business operations.
Fermi Inc. Common Stock (FRMI) reported negative free cash flow of $603.5M in 2025, indicating capital requirements exceeded cash from operations.
Fermi Inc. Common Stock (FRMI) spent $569.3M on capital expenditures in 2025. CapEx represents the cash invested in physical assets like property, plant, and equipment to maintain or grow the business.